HC Deb 05 December 1969 vol 792 cc391-2W
Mr. Blaker

asked the Minister of Housing and Local Government if he

Cost of Government Assistance to Industry† (Financial years 1964–65–1968–69 inclusive) (To nearest £ million) Estimated Total Employees mid-1968 Average Assistance per Thousand Insured Employees (Based on mid-1968 figures)
Development Areas* 1964–65 1965–66 1966–67 1967–68 1968–69 Total (Thousands) £
Scottish 15 16 23 84 124 262 1,928 136,000
Northern 15 14 18 86 105 238 1,353 176,000
Welsh 1 4 10 35 60 110 636 173,000
Merseyside 8 8 13 51 76 156 814 192,000
South Western 1 1 1 3 7 13 135 96,000
NOTES:
* These Areas were designated under the Industrial Development Act 1966. Prior to their creation assistance under the Local Employment Acts and other regional development measures, including the facility of free depreciation, were available in Development Districts. (Northern Ireland is not a Development Area but is covered by separate though similar legislation. Questions about measures under this legislation are within the responsibility of the Government of Northern Ireland.)
† The question refers to the total cost to public funds of development area incentives since 1964. Figures for a number of items of public expenditure are either not available on a development area basis or are not applicable for every year in the period covered; and the figures given in the table only cover the following items: assistance offered under the Local Employment Acts and certain assistance for industrial training during the whole of the stated period; investment grants paid in 1967–68 and 1968–69 (including the regional differential element); selective employment premium and the regional employment premium from their introduction in September, 1966 and September, 1967 respectively; and assistance provided by the Highlands and Islands Development Board since its establishment in November, 1965. Figures for the Furness peninsula are included in the Northern Development Area in the case of L.E.A. assistance but in Merseyside in the case of the other measures. No regional breakdown is available of the value of free depreciation and investment allowances available in the former Development Districts.

is aware of the difficulties faced by manufacturers of stainless steel products who have entered into fixed price contracts with local authorities, in view of the increased cost of producing stainless steel; and if he will issue a circular advising local authorities to renegotiate such contracts.

Mr. Freeson

My right hon. Friend the Secretary of State for Local Government and Regional Planning has received representations from the Stainless Steel Fabricators' Association. He has no evidence, however, that would justify a general renegotiation of fixed price contracts.